Is this a dead end to Doha Trade Talks? It seems, it is. Yesterday the nail biting negotiations in Doha, which began in 2001, collapsed as India and China hesitated to yield to US pressure on safeguarding its farmers through subsidies and other import curbs. Who are the winners and losers of the Doha debtes are yet to be worked out. This is a bad omen for global economy, especially at a time when a concerted effort is required to keep rising commodity prices and food prices under check.

Interestingly, it was not the contentious areas like agriculture, special products or NAMA (Non-Agricultural Market Access) that led to the collapse of the talks, but the outright reluctance of US to devise a plan for its domestic economy based on its own principles. Pascal Lamy was blaming the developing countries all the way for not reaching a consensus about trading in international market. But he maintained a studied silence throughout the Doha trade talks on increased subsidies for US farmers.

Developing countries are victims of trade distortions, caused by huge subsidy for farmers in US and European Union. In a sense, the failure of Doha debates at least for now will put an end to the self-deceiving actions of the heads of several developed countries throughout the Negotiation process. Fair enough.